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Texas Business & Commerce Code - Section 35.581. Privacy Policy Necessary To Require Disclosure Of Social Security Number

Legal Research Home > Texas Laws > Business & Commerce Code > Texas Business & Commerce Code - Section 35.581. Privacy Policy Necessary To Require Disclosure Of Social Security Number

§ 35.581. PRIVACY POLICY NECESSARY TO REQUIRE DISCLOSURE 
OF SOCIAL SECURITY NUMBER.  

Text of section as added by Acts 2005, 79th Leg., ch. 198, § 1
	(a)  A person may not require an individual to disclose the 
individual's social security number to obtain goods or services 
from or enter into a business transaction with the person, unless 
the person:
		(1)  adopts a privacy policy;                                                 
		(2)  makes the privacy policy available to the 
individual;  and             
		(3)  maintains under the privacy policy the 
confidentiality and security of a social security number disclosed 
to the person.
	(b)  A privacy policy adopted under this section must include 
how personal information is collected, how and when the personal 
information is used, how the personal information is protected, who 
has access to the personal information, and how the personal 
information is disposed.
	(c)  This section does not apply to:                                           
		(1)  a person who is required to maintain and 
disseminate a privacy policy under the Gramm-Leach-Bliley Act (15 
U.S.C. Sections 6801 to 6809), the Family Educational Rights and 
Privacy Act (20 U.S.C. Section 1232g), or the Health Insurance 
Portability and Accountability Act of 1996 (42 U.S.C. Section 1320d 
et seq.);
		(2)  a covered entity under rules adopted by the 
commissioner of insurance relating to insurance consumer health 
information privacy or insurance consumer financial information 
privacy;
		(3)  a governmental body, as defined by Section 
552.003, Government Code, other than a municipally owned utility;  
or
		(4)  a person with respect to a loan transaction, if the 
person is not engaged in the business of making loans.
	(d)  A person who violates Subsection (a) is liable to the 
state for a civil penalty in an amount not to exceed $500 for each 
calendar month during which a violation occurs.  The civil penalty 
may not be imposed for more than one violation that occurs in a 
month.  The attorney general or the prosecuting attorney in the 
county in which the violation occurs may bring suit to recover the 
civil penalty imposed under this section.
	(e)  The attorney general may bring an action in the name of 
the state to restrain or enjoin a person from violating Subsection 
(a).

Added by Acts 2005, 79th Leg., ch. 198, § 1, eff. Sept. 1, 2005.           

For text of section as added by Acts 2005, 79th Leg., ch. 946, § 
1, see § 35.581, post.

Last modified: August 11, 2007